The Ballistic Missile Defense Organization (BMDO) leads the Department of Defense team that executes the joint Ballistic Missile Defense (BMD) program. A program such as BMD requires a well-coordinated management and execution effort. BMDO ensures that BMD programs are centrally coordinated during budget debates; prevents duplication of BMD program efforts across the Services; sponsors joint development of BMD systems; ensures focus on joint warfighter needs; and concentrates on near-term acquisition programs while judiciously investing in far-term technologies. Of special significance, BMDO is responsible for designing the appropriate battle management, command, control and communications that will ensure Theater Missile Defense (TMD) systems are fully integrated. Meanwhile, BMDO strongly benefits from the Services' technical, programmatic and acquisition expertise. This approach to BMD management has succeeded in combining the strengths of the Services and BMDO, which enables the Department to develop and acquire improved BMD systems in a timely manner and to continue developing critical military technologies and capabilities.

The Director of BMDO and his staff work cooperatively with the Services in the development and acquisition of BMD programs, in particular the core TMD systems, such as Navy Area Theater Ballistic Missile Defense (TBMD). BMDO works with the Military Service Program Executive Officers (PEOs) to put effective missile defense capabilities into the hands of our warfighters. Specifically, the Director of BMDO and the Navy PEO for Theater Air Defense have established a solid and productive relationship to ensure the development and timely acquisition of the Navy Area Defense system and development of the Navy Theater Wide system.

The Navy has completed development of the Standard Missile 2 (SM2) Block IV, which was specifically designed to defend ships against the most stressing cruise missile threats facing the fleet today. The Navy has just begun procurement of the SM2 Block IV missile. This effort was funded and managed by the Navy.

BMDO and the Navy are jointly developing the Navy Area TBMD system. This system consists of modifications to both the AEGIS weapon system and command and control systems and development of the Standard Missile 2 Block IVA (SM2 Blk IVA). The SM2 Blk IVA builds on the Navy development of SM2 Blk IV and adds an imaging infrared seeker in addition to upgrades to the autopilot, warhead and fuze to provide capability against theater ballistic missiles (TBMs). These changes are required for the TBMD mission and would not be required for cruise missile defense. Therefore, these modifications are appropriately funded and managed by BMDO and executed by the Navy PEO.

The Navy Area TBMD system program's Milestone III decision to begin full rate production is scheduled for fiscal year 2002. At or near that time, it would be appropriate for the Navy to assume full management responsibilities for fleet introduction and logistic support. Meanwhile, it is prudent for BMDO to retain management responsibilities during the development phase of this important core TMD system. This will allow for optimal development of lower-tier TMD systems, PATRIOT PAC-3 and Navy Area TBMD, and ensure that all TMD systems are appropriately interoperable.